Net1 Employee, Officer and Director Stock Sales

JOHANNESBURG, South Africa, May 26 /PRNewswire-FirstCall/ -- Net 1 UEPS Technologies, Inc. ("Net1") (NASDAQ: UEPS) announced today that a broad-based group of Net1 employees, officers and directors, including Dr. Serge Belamant, Net1's Chief Executive Officer, collectively sold 1,104,399 Net1 shares. Included in this sale were 664,161 shares from Net1's 2004 Stock Incentive Plan. An additional 45,238 shares were sold by Nitin Soma, Net1's Senior Vice-President, Information Technology and 395,000 shares by Dr. Belamant as part of the rebalancing of his portfolio. After the sale, Dr. Belamant continues to own beneficially 2,084,955 Net1 shares. The sales were effected in accordance with Rule 144 under the Securities Act of 1933 through a block trade with Morgan Stanley & Co. Incorporated ("Morgan Stanley").

Separately, Net1 purchased 147,973 of the shares from Morgan Stanley. These shares are expected to be purchased in the future by certain employees of Prism Holdings Limited ("Prism"), in accordance with the implementation agreement between Net1 and Prism in relation to Net1's acquisition of Prism.

About Net1

Net1 provides its universal electronic payment system, or UEPS, as an alternative payment system for the unbanked and under-banked populations of developing economies. Net1 believes that it is the first company worldwide to implement a system that can enable the estimated four billion people who generally have limited or no access to a bank account to enter affordably into electronic transactions with each other, government agencies, employers, merchants and other financial service providers. To accomplish this, Net1 has developed and deployed the UEPS. This system uses secure smart cards that operate in real-time but offline, unlike traditional payment systems offered by major banking institutions that require immediate access through a communications network to a centralized computer. This offline capability means that users of Net1's system can enter into transactions at any time with other card holders in even the most remote areas so long as a portable offline smart card reader is available. In addition to payments and purchases, Net1's system can be used for banking, health care management, international money transfers, voting and identification.